Lindian Resources Limited announced the receipt of the first two batches of assays from the Phase 1 drilling program at the Kangankunde Rare Earths Project in Malawi. The assays reported are for the first two reverse circulation (RC) holes, KGKRC001 and KGKRC002. Both holes contain mineralisation with very high rare earths grades, broad intersections of non-radioactive material over the entire lengths of the holes, a large percentage of critical battery metal elements of NdPr.

The holes ended in mineralisation which will be further extended with core drilling later in the program. Assay results have been received from the first two RC holes in the Phase 1 Kangankunde Rare Earths Project. Results for holes KGKRC001 and KGKRC002 demonstrate continuous rare earths mineralisation over their entire drill lengths.

Both drill holes were collared in the central zone of the Kangankunde carbonatite complex and designed to drill toward the outer margin of the central carbonatite. Neither hole reached the outer margin of the central carbonatite. Figure 3 provides a plan view of the Kangankunde carbonatite geology.

The holes were entirely drilled in carbonatite or carbonatite breccia with two main alteration types associated with mineralisation logged. The alteration comprises: Iron oxide and manganese oxide in moderately weathered to fresh carbonatite with individual Total Rare Earth Oxides (TREO) up to 11.8% TREO, the primary rare earth bearing mineral monazite, is frequently visible in the drill cuttings, and Potassic (fenite) alteration; associated with carbonatite ranging from 1% to 2% TREO. The mineralisation is dominated by light rare earths cerium (Ce), lanthanum (La), neodymium (Nd) and praseodymium (Pr).

The total of Nd and Pr content in oxide form constitutes 21% of the TREO in KGKRC001 and KGRC0002. Radionuclides uranium (U) and thorium (Th) are low in grade in both drill holes. KGKRC001 averages 5.41ppm U and 53ppm Th over 110 metres and KGKRC002 averages 7.5 ppm U and 49 ppm Th over 250 metres.

All drill samples are routinely scanned on site for radiation with results consistently in the 2- 3 counts per second (cps) range. These readings are very low and support the low radiation content of the rare earth bearing monazite mineralisation. A total of 26 RC holes for 4,061 drill metres and 2 core drill holes for 489 metres had been completed prior to the drilling break for the festive season.

Drill crews and Lindian field staff will return to site on January 8th with drilling due to recommence on January 10th. The intention is to continue drilling with two RC and one core rig during the wet season for the duration of the program and manage rain delays as they occur. The Phase 1 program consists of 10,000 metres of RC drilling and 2,500 metres of core drilling on the Kangankunde hill top.

The drill pattern is based on 50 metre east-west sections, and as radial fans perpendicular to the interpreted carbonatite boundary where topography provides access. The program is designed to give initial data for resource evaluation and mine planning. The Phase 1 Drill Program is only partialy complete with a total of 4,550 metres drilled of a planned 12,500 metres.

Two additional deep drill holes are planned from drill pads near the base of the Kangankunde hill and are designed to allow drilling to continue during the wet season. These two drill holes, each planned to be 1,000 metres in length, are designed to test the N-S and E-W axies of the carbonatite between 300 metres and 800 metres below the hill top. The Phase 2 Drll Program has not yet commenced.